Adani Airports Halts Russia-Bound Export Cargo, Disrupting India-Russia Air Trade

Adani Airport Holdings Ltd (AAHL) has stopped processing export cargo bound for Russia, leaving around 150 tonnes of shipments stranded for nearly 10 days and disrupting the India-Russia air cargo trade route.

The affected shipments mainly comprise pharmaceuticals, machinery and spare parts and are currently awaiting clearance. AAHL operates eight airports, including Mumbai, Navi Mumbai and Ahmedabad.

The cargo includes shipments booked on Russian national carrier Aeroflot as well as non-scheduled Russian freighter operator Volga-Dnepr. Aeroflot currently operates daily flights from Delhi and five services a week from Goa, but has no scheduled operations from Mumbai or other airports managed by AAHL.

Mumbai, however, remains an important export processing hub for cargo originating in western and southern India and heading to Russia. Shipments are transported to Mumbai by road, processed at the airport cargo facility, security-screened and cleared by Customs before being moved by domestic flights or bonded trucks to Delhi or Goa for onward loading onto Russian aircraft.

The disruption has also reportedly affected regular government-to-government supplies being transported between India and Russia, according to a source cited in the report.

SW Trading, Aeroflot's authorised cargo sales agent in India, has raised concerns over the growing delays. Its director, Shubham Singh, said an extended disruption could affect cargo movement from Mumbai and have a wider impact on the India-Russia trade corridor.

In a September 23 letter addressed to Mumbai International Airport Ltd (MIAL), SW Trading said its trucks had been waiting for carting orders for three to four days. The company also raised concerns about increasing storage costs and truck detention charges.

SW Trading later sought government intervention, approaching the ministries of civil aviation, external affairs and home affairs, as well as Customs authorities. Sources said the government has started looking into the matter.

The reason behind the stoppage remains disputed. Sources cited in the report said airport officials indicated that instructions had been received from AAHL headquarters. The disruption reportedly occurred days after the Adani Group raised $1 billion from funds managed by US-based BlackRock. An Economic Times report linked the development to US sanctions against Russia imposed by the Office of Foreign Assets Control (OFAC).

SW Trading has maintained that AAHL, acting as a government-appointed custodian under the Customs Act, is required to provide cargo-handling services to airlines without discrimination. The company has asked Customs authorities to instruct the airport to provide written clarification on the specific reasons and instructions behind the decision not to process Aeroflot cargo.

Delmos Aviation Pvt Ltd, Aeroflot's general sales and service agent, has also approached the government over the issue.